News Release

Rosetta Stone Announces ESL Classroom Innovators Contest

Competition Celebrates the Unsung Heroes in ESL Classrooms

ARLINGTON, Va., Jan 03, 2011 (BUSINESS WIRE) --

Rosetta
Stone Inc. (NYSE:RST), a leading provider of technology-based
language-learning solutions, announced today the creation of the Rosetta
Stone(R) English as a Second Language (ESL) Classroom Innovators Contest,
recognizing ESL teachers who have introduced forward-thinking practices
and technology into their curriculum. Principals and school
administrators are encouraged to nominate an ESL teacher in their school
by describing in 500 words or less how the teacher innovated in the
classroom with technology.

The winning teacher will receive a $500 gift card and the newest
innovative solution - Rosetta Stone(R) Version 4 TOTALe(TM) - in the language
of their choice. The school with the winning teacher will also receive
three additional subscriptions to Version 4 TOTALe for professional
development. From developing a strong language-learning foundation to
building confidence and strengthening conversation skills, Version 4
TOTALe combines learning in the award-winning Rosetta Course with
practice in Rosetta Studio with a native speaking Studio Coach
and play in the Rosetta World community to create a
comprehensive, powerful, interactive environment for higher education.

Entries for consideration in the Rosetta Stone ESL Classroom Innovators
Contest 2011 will be accepted from January 3, 2011 to February 2, 2011.
Rules and submission guidelines are available at RosettaStone.com/ESLTeachers.
A winner will be announced at the annual Teachers of English to Speakers
of Other Languages (TESOL) conference on March 16, 2011.

At the cutting edge of classroom innovation, Rosetta Stone(R) Classroom is
a powerful learning tool that blends seamlessly into a teacher's overall
language-learning curriculum. The immersive solution helps school
districts integrate non-English speaking students into their education
system and drive overall achievement.

Rosetta Stone Inc. is changing the way the world learns languages.
Rosetta Stone provides interactive solutions that are acclaimed for the
power to unlock the natural language-learning ability in everyone.
Available in more than 30 languages, Rosetta Stone language-learning
solutions are used by schools, organizations and millions of individuals
in over 150 countries throughout the world. The company was founded in
1992 on the core beliefs that learning a language should be natural and
instinctive and that interactive technology can replicate and activate
the immersion method powerfully for learners of any age. The company is
based in Arlington, VA. For more information, visit RosettaStone.com.

"Safe Harbor" Statement under the Private Securities Litigation Reform Act of 1995: Statements in this press release regarding Rosetta Stone PR's business which are not historical facts are "forward-looking statements" that involve risks and uncertainties. For a discussion of such risks and uncertainties, which could cause actual results to differ from those contained in the forward-looking statements, see "Risk Factors" in the Company's Annual Report or Form 10-K for the most recently ended fiscal year.